Working on Our First Post School Budget
So, in Saturday’s post I mentioned that I have been scared to start dreaming or planning for the future because I don’t know where we are going to land yet. But I really really want to share my proposed budget. The hubby and I have a couple of dreams for the future. He wants to start his own business, but we need money to invest in it, and a good cushion if it goes south. This is a dream, who knows when it will happen, but we want to save up for it. Thus, for the next 3 years after graduation we need to save. We want to have fun, too though. So my job is to find the perfect balance of having fun and saving.
So, I know we need to invest in our 401Ks, max out ROTH IRAs, build emergency fund, build travel fund, build savings. So many goals, where do we even start? Well, since I don’t know how much our salaries are going to be, I cannot project anything on this part yet. Instead, I am going to work on our budget.
So my target maximum spend per month is $3,000. $3K is after taking out taxes, FICA, healthcare, 401K contributions, ROTH IRA, savings. This is how much I think we can spend and be happy. No more. Totally happy if it’s less.
Fixed Expenses: Rent, Renter’s Insurance, Car Insurance, Netflix, Cable, Internet, Netflix, LA Fitness, Cell Phone, Electricity (sort of..), Monthly Prescriptions.
Right now this is what I budget- Rent ($520), Renter’s Ins. ($14), Netflix ($9), Cable/Internet ($93-$140), LA Fitness ($33), Cell ($40), Electricity ($36-$90), Meds($115). Car insurance & my hubby’s cellphone is deducted from his paycheck. We also live in a really cheap apt. We want to upgrade. LA Fitness will increase to $50 once I am added to his plan. Cable/Internet has been weird. We need to get a better deal. ATT is really expensive. With a promotion we were paying $93 for cable and internet. Without promotion cable and internet is $140. We cut off cable, and kept the internet. But hubby wants cable again. My cellphone is a really cheap plan on a really bad network -MetroPCS-. It works, but I will need a better cellphone once I start working.
Variable: Groceries, Take Out, Gas, Entertainment, Car Maintenance, Extra Medical Expenses, Gifts, Other.
Allowances: Monthly Allowance for Me & Hubby (We can spend our “allowance on anything”)
**There are no car payments because we will be paying for my car in cash, and my husband will own his car outright by June or July. No student loan payments either.
***I am thinking about taking out $50-$100 out every month for our Christmas gifts fund.
**** I also have an excel sheet where I used to keep track of our expenses. But I need more tools to make life easier. I just opened up a Mint account.
It’s good to have my thoughts on paper now. This is a work in progress, to be continued.
P.S. 15 Days To Go